ç

Automating P2P to Enhance Performance

Many companies, including Bayer MaterialScience (BMS), have invested significant human and financial resources in optimising their cash management and banking activities so that payments are transacted securely, efficiently and cost-effectively. To achieve a truly efficient payment process, however, companies also need to focus on the activities that take place before the release of the payment file to the bank, and ensure that every step in a payment cycle is optimised.

At BMS, the procurement department owns the entire purchase-to-pay (P2P) lifecycle, so we had the opportunity to identify where surplus costs or inefficiencies existed, with a view to streamlining and optimising the entire process.

Key Points

  • In 2010 Bayer reviewed its P2P costs and found them to be rising year on year
  • The firm then embarked on a radical process of optimising and automating the P2P cycle
  • The article outlines the various steps taken which have substantially improved its P2P metrics, including the important introduction of an online portal, ‘ProCURE’ and the factors leading to its success
  • Further process enhancements are planned including increasing the coverage of ProCURE and extending the company’s supply chain financing programme

 

Written by

Michael Friede
Vice President of Procurement & Trading and Head of Global Procurement Intelligence
Bayer MaterialScience

Financial Supply Chain Series (7 articles)

£18

Add to cart


Every case study in this series is also included in our Unlimited Case Studies collection. Get the full story with access to all case studies on TMI Academy for just

£139

Add to cart